India Newsletter: March 2007

Economic News

RBI upbeat about momentum of economic growth
The Reserve bank of India has said that the ongoing momentum in economic growth is likely to remain robust in the rest of 2006-07 along with expectation of lower increase in selling prices, exports and imports. In its latest Industrial Outlook Survey, the RBI has revised upwards the business expectations indices, based on assessment for October-December 2006 and on expectations for January-March 2007 by 2.7% and 1% respectively, over the previous quarter. The improvement in expectations index, January-March 2007, was backed by higher net responses for major parameters of the survey like overall business situation, production, order books, capacity utilization, employment, and profit margins over the previous quarter.

GDP grew 9% in 2005-06 : CSO
A sharp revision in agricultural sector growth has propelled the country's Gross Domestic Product growth rate in 2005-06 to 9% against the previous estimates of 8.4%, according to estimates released by the Central Statistical Organization.

Indian economy set to grow at 9.2%
Continued buoyancy in manufacturing and services will see the Indian economy grow 9.2% in 2006-07, making it the second consecutive year that the economy has grown at this rate, according to advance estimates of national income from the government's Central Statistical Organization.

India emerging as new business destination
India is emerging as the new destination for American business, after China, with several states planning to send trade missions to take advantage of its "fast-growing market". Governors from Virginia and Iowa have been there, and Minnesota, California and Utah are lining up gubernatorial visits for this year, according to Michael Taylor of the US-India Business Alliance that helped organize the earlier missions. Minnesota's Republican governor Tim Pawlenty is planning to lead a 30-member trade mission to India in October with stops in New Delhi, Bangalore and Mumbai. "We view this as a tremendous opportunity to better acquaint Minnesota with India and better acquaint India with Minnesota," said Pawlenty, announcing the trip to a country that now makes up a tiny fraction of Minnesota's roughly $14 billion in annual manufactured exports. The agenda will include market and industry presentations, networking events, business roundtable discussions, customized one-on-one business matchmaking meetings, and other similar events.

IT services exports touch $24 billion
India's exports of IT services, BPO and electronic hardware are estimated to have touched $23.6 billion during the first nine months of the current financial year. Software and IteS exports accounted for more than 90% of the overall kitty. Electronic hardware exports have logged a growth rate of 38.8% at $2.1 billion during April-December FY '07, compared to $1.5 billion grossed in the corresponding period of the previous year. IT software and IT-enabled services (IteS) exports, which enjoy a lion's share of the high-tech export booty, registered $21.5 billion during the period, a growth of 28.2% over the year-ago period. The growth in hardware exports was an estimated 41.1%, according to export statistics by the Electronics and Computer Software Export Promotion Council.

EEPC outlines plan to take exports to $100 billion by 2016
The Engineering Export Promotion Council (EEPC) has drawn up a growth strategy to take exports of Indian engineering goods to $100 billion by 2016. As part of the strategy, it aims to increase exports of engineering goods by 20% per annum between 2007-08 and 2009-10. For the remaining six year till 2016, it targets raising such exports by 14% per annum.
In 2005-06, engineering goods exports from the country stood at $20.3 billion, which are expected to grow 20% to $24 billion in the current fiscal.

India Films Sweep Europe of its feet

Running around trees humming a song, the macho hero bashing up an entire gang of hoodlums single handedly, spectacular dances with a cast of hundreds and also stimulating cinema reflecting the Indian way of life – the razzmatazz and sheer variety of India's $1.3 billion Hindi film industry has come home to Europe. Bollywood, as the industry is popularly known, is rocking Europe – literally.

Be it Hindi tracks that have become the latest rage at parties and as ringtones or the mushrooming training centres for Bollywood dancing, Hindi films have become quite the rage amongst youth in Europe. It's not just Indians in Switzerland, Germany, Austria or Finland shaking a leg to Indian tunes or downloading them as mobile ringtones. Others are doing it too, and adopting stars like Shah Rukh Khan, Aishwarya Rai, Hrithik Roshan and Kajol as role models. "Hindi films are so beautiful, the actors dress up in such nice colours. It's very exotic and oriental, "exclaimed Natasha Berger, a student in Vienna. "Bollywood is the theme here. Youngsters are crazy about Indian cinema and stars," Kristina Huber, a German studying in Zurich, told a visiting IANS correspondent. The colour, spectacle, dance, music and the sheer exuberance of Hindi films have found many takers in this part of the world. Although Indian actors are still unfamiliar in Helsinki, the capital of Finland, where the Indian population is less than 2,000, teenaged girls are queuing up for lessons in Bollywood dancing -a unique genre that melds various styles and defies description. "The craze for Bollywood dancing is spreading like wildfire," said Linda, owner of High Heels dance studio, the first in Helsinki to start a six-week 'Bollywood dancing' course.

Bollywood movies, unique for their use of colour, elaborately choreographed songs and dances, cinematography and high drama, have long been minting money in the US and British markets, the Gulf, Southeast Asian countries like Malaysia and Singapore and even in the Caribbean where people don't even speak the language. Europe is just following the trend of an industry that sold 3.6 billion tickets, compared with Hollywood's 2.6 billion- according to 2002 figures. Quick to cash in on the trend, two television channels - RTL II (German)and Rai Uno (Italian) - have recently started telecasting Indian movies at least twice a week

Apart from making huge profits in the foreign markets, Bollywood movies are luring prominent Hollywood names like Michael Douglas, Sylvester Stallone, Cameron Diaz and Peter Weir - all of whom have expressed their desire to shoot and research film projects in the country. Will Smith has signed a deal with PVR Cinemas and has expressed a desire to work with stars like Shah Rukh Khan and Aishwarya Rai as well as ace director Karan Johar, whose 2001 hit "Kabhi Khushi Kabhie Gham" (Some happiness, some sorrow) grossed more than $2.9 million in box-office sales in the US and whose latest "Kabhi Alvida Na Kehna" (Never say goodbye) has been a roaring success in the US, Britain, Australia and United Arab Emirates.

According to reports, Bollywood films in the US earn around $100 million a year through theatre screenings, video sales and the sale of movie sound tracks. The music, an essential part of Bollywood movies, also sells the film through advance release. The Indian music industry is the second-largest in the world after that of the US, with film music making up 70 percent of all music sales. And Bollywood forms only a part of Indian cinema, which boasts an impressive industry in language films like Malayalam, Telugu, Kannada and Tamil (all from south India). Entertainment Weekly reported that the now $8 billion film industry produces more than 900 movies a year in more than 20 languages. This makes India the world's most prolific film producer.

Do You Know?

India tops reforms list on South Asia

India is now the leading reformer in South Asia. That is the verdict of the World Bank's 'Doing Business in South Asia' report, which compares business regulations across countries in the region. Significantly, the bank places India among the top 20 reformers worldwide, and identifies key reforms taken up by India over the last year that have reduced the time, cost and hassles faced by businesses in complying with requirements. The report ranks countries on the basis of arrange indicators that include dealing with licences, employing workers, registering property, getting credit, paying taxes and trading across borders. Most significant of the outcomes was the drastic reduction in the time taken to start a business – from 71 days to 35 days.

Tourism - India Calls
Uttarakhand: Valley of Peace

The state of Uttarakhand, comprising the Garhwal and Kumaon regions of Uttar Pradesh has many charms to offer. If the timeless temples and joyous and colourful society lend itcultural importance, it is the abounding mountains, rivers, forests, flora and fauna that invoke a feeling of awe in everybody.

Uttarakhand can boast of having some of India's enchanting hill resorts like Nainital, Dehradun and Ranikhet. It has also several religious destinations where tourists flock every year in huge number.

Attractions
• Nainital: Placed around a picturesque lake, Nayana Tal, at a height of 1940 m above sea level, Nainital is one of the most sought after hill resorts in India. Surrounded by seven hills, this resort was the erstwhile summer capital of the Uttar Pradesh government. It was, only in1839, that the lake and its surrounding area was discovered by an English traveler. Its quaint cottages, colourful markets, the sylvan landscape and the charming lake at the very heart of it, make Nainital a delightful haven to escape to, from the dreariness of everyday urban life.
• Ranikhet: Quietly ensconced amidst pine trees with a charming background of the snow clad Himalaya, Ranikhet has a breathtaking scenic beauty. Blessed with a healthy climate, its magnetic charm attracts tourists all the year round. It is a haven for bird watchers and visitors who wish to spend their holidays in solitude.
• Badrinath: The etymological root for the name of the town Badrinath goes to the Badri Van, where the lush green Badri trees grow heavily. One of the 'Char Dham' pilgrim centers for the Hindus, millions of tourists throng Badrinath every year.
• Gangotri: Gangotri is an ideal location to satisfy one's spiritual as well as adventurous motives. Gangotri is the origin of the sacred river Ganges. Along with the thrill of conquering nature, what one experiences here is the mystical aura that India is quite famous for.
• Yamunotri: The Garhwal Himalayas accommodate one of the holiest Hindu pilgrimage sites - Yamunotri. One of the 'Char Dhams' according to Hindu mythology, Yamunotri is the origin of the sacred river Yamuna. Famous for its thermal springs and glaciers; it is overwhelmed by the tourists every year.
• Haridwar: Haridwar or 'the Gateway to the Gods' is one of the seven holiest places according to Hindu mythology. Referred to as Mayapuri, Gangadwar,and Mokshadwar in the ancient scriptures and epics; Haridwar has always remaineda major pilgrimage for the Hindus.
• Rishikesh: Crowded with sadhus with long matted hair and pilgrims from allover the globe, Rishikesh is the birth place of yoga. It attracts thousands of tourists every year, who come to seek mental peace in the midst of the humdrum of modern life.

How to get there
• By Road: Most of the major towns in Uttarakhand, including Dehradun (235kms), Nainital (310kms), Haridwar (214kms) are well-connected by road from New Delhi.
• By Air: Jolly Grant airport is the nearest airport situated 24-km from Dehradun which is well-connected by roads to all major towns in Uttaranchal.
• By Rail: Dehradun is well-connected by railways to all the major cities of the state.

Climate
Uttarakhand experiences a cool and pleasant climate throughout the year. However, the state witnesses heavy snowfall in peak winters and equally heavy rainfall from July to September.

Best time to visit: April to June and September to November.

What to wear: Heavy woolen in winter and cotton in summer.

Where to stay: Shiva Residency, Dehradun; Chevron Rosemount, Ranikhet; Palace Belvedere, Nainital; Arif Castles, Nainital; Narayan Palace, Badrinath; Hotel Baseraa, Rishikesh; The Havelli Hari Ganga, Haridwar.

For more on India tourism, visit:
www.tourindia.com
www.tourismofindia.com

Indian Vegetarian Recipes: Rice with dried Mushrooms

Serves: 4
Style: North Indian Vegetarian (Kashmiri)

Ingredients:

• 2 cup(s) long grain rice (called Basmati rice in India)
• 4 cups water
• 2 cup(s) dried mushrooms soaked in water for some time
• 1 teaspoon(s) cumin seeds
• 4 medium onions chopped
• 4 cloves
• 2 green chilli(es) chopped
• 2 bay leaves
• 1" stick cinnamon
• 1/2 teaspoon(s) turmeric powder
• 1 tablespoon(s) ginger grated
• 2 tablespoon(s) butter/ghee (clarified butter)
• salt to taste

Method:
1. Wash and soak the washed rice in the water for about 30 minutes. Soak the dried mushrooms also separately in some water for the same amount of time as the rice. Drain the mushrooms and pat dry.
2. Heat butter / ghee (clarified butter) in a large heavy bottomed vessel and fry the mushrooms on medium heat till they slightly change color. Drain and keep aside. In the same hot pan add the cumin seeds and let them splutter. Now add the cloves, cinnamon and bay leaves. Fry briefly. Add the chopped green chilli(es), turmeric powder, grated ginger and chopped onions. Saute on medium / low heat for about 4 minutes or till the onions are light brown in color.
3. Add the rice along with the water in which it was soaked, fried mushrooms and salt. Mix well. Bring to boil on high heat. Keep on low flame for 20 minutes or till the rice is cooked.

Suggestion: Great way to use left-over rice.

Serve hot immediately with any other curries of your choice.

NRI/PIO Corner

India to Introduce Biometric Passports

The government plans to put in place a system for issuing biometric passports or e-passports by the end of this year and citizens can get them by 2008, Minister of State for External Affairs Anand Sharma said on Friday the March 16, 2007 during his visit Shimla to inaugurate a passport office. The passport office is the 32nd in the country and similar offices will be set up in Amritsar, Coimbatore, Dehradun and Raipur, Sharma said.

The e-passports would be valid for 10 years.

Several countries have begun incorporating bio-metric information, such as retinal scans, in their passports as part of tighter security arrangements.

The "cumbersome" process of issuing passports has also been simplified by reducing the number of documents to be provided by applicants and they are now usually issued within four weeks, Sharma said.

Instead of 14 documents required earlier, only three are now needed while applying for a passport and one of them should have a photograph of the applicant, he said.

The time for issuing passports under the Tatkal system too has been reduced. Instead of 20 days, passports will now be issued in 14 days. Expired passport will be re-issued in seven days instead of a fortnight earlier.

In general cases, passports should be issued within four weeks, Sharma said.

All passports are now machine printed to prevent occasional "harassment" in foreign countries due to bad handwriting on the documents, he said.

Steps were being taken to check "illegal" activities of agents and touts in passport offices. Closed circuit TVs were being installed in these offices to keep a watch on "malpractices", he said.

The 14 documents that people can submit with their passport applications are electoral photo identity cards, service identity card issued by Central or state governments, SC, ST, OBC certificates, freedom fighter identity cards, arms license, property documents such as pattas or registered deeds, ration cards, pension documents, railway identity cards, income tax identity (PAN) cards, bank, kisan, post office passbooks, student identity cards issued by recognised educational institutions, driving licenses and birth certificates issued under the RDB Act.